Funeral Expenses in NSW CTP Claims: What Injured People Need to Know
Where a person's only injuries resulting from the accident are threshold injuries, weekly benefits and treatment and care generally cease after 52 weeks (ss 3.11 and 3.28).
If you or a loved one has been involved in a motor accident in New South Wales, you may have questions about whether funeral costs can be claimed under the Compulsory Third Party (CTP) scheme. The NSW CTP scheme provides compensation for injuries and related expenses, including funeral costs, but only under specific conditions. This article explains what funeral expenses are covered, how to claim them, and the practical steps injured people should take.
What Funeral Expenses Are Covered Under NSW CTP Claims?
Under the Motor Accident Injuries Act 2017 (MAIA), funeral expenses are covered if they are directly related to the death of a person injured in a motor accident. SIRA (State Insurance Regulatory Authority) guidelines clarify that eligible costs include:
- Transportation of the deceased to a funeral home or burial site
- Burial or cremation costs
- Costs of a funeral service, such as a memorial or ceremony
- Expenses for a coffin or shroud
- Costs of a hearse or other vehicles used for transport
However, the CTP scheme does not cover personal expenses like flowers, catering, or memorial tributes. Only costs directly tied to the funeral process are eligible.
How to Claim Funeral Expenses Through the CTP Scheme
To claim funeral expenses, the following steps must be taken:
- Notify the insurer: The claimant must inform the at-fault driver’s CTP insurer within 52 weeks of the accident. This deadline applies to all CTP claims, including funeral costs.
- Submit a claim form: Complete and submit the CTP claim form available on the SIRA website. This form requires details about the deceased, the accident, and the funeral expenses.
- Provide supporting documentation: SIRA requires evidence to support the claim. This includes:
- A death certificate
- Funeral home invoices or receipts
- Proof of the deceased’s connection to the accident (e.g., medical records or police reports)
- A statement from the funeral director confirming the costs incurred
- Wait for approval: The insurer has 28 days to respond to a claim. If the claim is denied, the claimant may need to escalate the matter through SIRA’s dispute resolution process.
Documentation Required for Funeral Expense Claims
SIRA emphasizes the importance of thorough documentation to support funeral expense claims. Key evidence includes:
- Medical records: Confirming the deceased’s death as a result of the accident.
- Funeral invoices: Detailed receipts from the funeral home or service provider.
- Witness statements: Accounts from people who witnessed the accident or the funeral arrangements.
- Photographs: Of the accident scene or any visible damage, though this is less critical for funeral claims.
- Correspondence: Emails or letters with the insurer showing the claim was submitted on time.
Time Limits and Dispute Options
All CTP claims, including funeral expenses, must be submitted within 52 weeks of the accident. If the claim is not made within this period, the insurer may refuse it. However, exceptions exist if the claimant can demonstrate a valid reason for the delay, such as a medical condition or administrative error.
If the insurer denies the claim, the claimant may request a review through SIRA’s internal dispute process. In some cases, legal advice may be necessary to challenge the decision.
A Hypothetical Example
Consider a scenario where a pedestrian is killed in a car accident. The family covers the cost of a burial service and a hearse. Under the CTP scheme, the family can claim the burial and transportation costs but not the cost of a memorial plaque. The claim must be submitted within 52 weeks, and the family must provide the funeral director’s invoice and a death certificate.
When to Seek Legal Advice
While the CTP scheme provides a clear process for funeral claims, complex situations may arise. For example, if the deceased was a minor or if there are disputes over the claim’s validity, legal advice may be necessary. A solicitor can also assist with navigating time limits or disputes with the insurer.
Next Steps
If you or a loved one has suffered a loss due to a motor accident, it is essential to act quickly. Funeral expenses are a specific type of claim under the CTP scheme, and the process requires careful documentation and timely submission. Every claim depends on its own facts. To request contact about your circumstances, complete the quick, no obligation enquiry form.